Google-Wiz deal fizzles out, company will pursue IPO • Hacker News Board

Re: Google-Wiz deal fizzles out, company will pursue IPO

#11

Post by samspenc » Tue, Jul 23, 2024, 3:48 AM UTC

CaveTech wrote: post #4

worthless-trash wrote: post #3

This is great news ! I use wiz for my home lighting and automation, I'm so glad that google did not buy it due to its habit of killing things that I find useful. I want my hardware to last longer than the current decision makers employment. Edit: hah, the site becomes available AFTER i submit so now I can read it.

This is not the same Wiz.

Didn't realize there was a WiZ that specializes in home lighting https://www.wizconnected.com/en-us

Per their About Us page, they are an "IoT platform for smart lighting solutions and smart services" and "offer people connected lighting".

Re: Google-Wiz deal fizzles out, company will pursue IPO

#12

Post by justahuman74 » Tue, Jul 23, 2024, 3:50 AM UTC

Can they just buy all the shares on the open market then?

Re: Google-Wiz deal fizzles out, company will pursue IPO

#13

Post by Centigonal » Tue, Jul 23, 2024, 3:50 AM UTC

Founded in 2020, with a $23B valuation, aiming for $1B ARR?

CloudFlare is worth $26B and had ~$1.3B revenue last year. Something's fishy here.

Re: Google-Wiz deal fizzles out, company will pursue IPO

#14

Post by djbusby » Tue, Jul 23, 2024, 4:00 AM UTC

justahuman74 wrote: post #12

Can they just buy all the shares on the open market then?

That won't be all the shares of the company, just a lot of them. And doesn't give you the control like an acquisition would.

Re: Google-Wiz deal fizzles out, company will pursue IPO

#15

Post by [deleted] » Tue, Jul 23, 2024, 4:01 AM UTC

ds wrote: post #7

Far more likely is Google was not willing to complete the deal and was pulling the plug after looking at internal data. Wiz, fearing the bad press of Google backing out rushes to tell journalists that THEY are walking away because they are worth more. Wiz's valuation is insane. Most people havent even heard of them. I think it was a > 60x ARR multiple on this deal. Id actually be kinda pissed if I was a google shareh…

[deleted]

Re: Google-Wiz deal fizzles out, company will pursue IPO

#16

Post by jimt1234 » Tue, Jul 23, 2024, 4:02 AM UTC

Why settle for a measly $23B, when a successful IPO will get them 10x that?

Re: Google-Wiz deal fizzles out, company will pursue IPO

#17

Post by blackeyeblitzar » Tue, Jul 23, 2024, 4:12 AM UTC

justahuman74 wrote: post #12

Can they just buy all the shares on the open market then?

If you mean before the IPO, it depends on the stock plan of the company. They may have clauses that prevent trading on secondary markets. I don’t think this is fair to employees personally, but it is the norm for companies to have various abusive forms of control over the options they grant employees.

Re: Google-Wiz deal fizzles out, company will pursue IPO

#18

Post by shrubble » Tue, Jul 23, 2024, 4:17 AM UTC

Could it be cold feet or fallout from the Crowdstrike debacle?

Re: Google-Wiz deal fizzles out, company will pursue IPO

#19

Post by dboreham » Tue, Jul 23, 2024, 4:18 AM UTC

ds wrote: post #7

Far more likely is Google was not willing to complete the deal and was pulling the plug after looking at internal data. Wiz, fearing the bad press of Google backing out rushes to tell journalists that THEY are walking away because they are worth more. Wiz's valuation is insane. Most people havent even heard of them. I think it was a > 60x ARR multiple on this deal. Id actually be kinda pissed if I was a google shareh…

Add me to the haven't heard of them list. Mind you I almost hadn't heard of Crowdstrike and they managed to brick the world.

Re: Google-Wiz deal fizzles out, company will pursue IPO

#20

Post by refurb » Tue, Jul 23, 2024, 4:19 AM UTC

justahuman74 wrote: post #12

Can they just buy all the shares on the open market then?

Once it IPOs?

Wiz might not mind at that point.

But if they did mind, it would be a hostile takeover. The way Wiz can prevent it is by approaching their largest shareholders and asking them to help prevent it.